Syria has become the largest cotton yarn supplier in volume to the EU countries
The EU importer's of cotton yarn have recently shifted their orders to Syria which has benefited from a large series of huge investments in modernizing existing capacities and building Greenfield cotton yarn factories in the past 3 years after regulations were liberalized, which attracted foreign direct investment…
Egytex News Desk
Egytex
Syria possibly overruled Turkey as EU largest supplier of cotton yarns in volume terms, although definitive data for Turkey will not be known before months.
In value terms, however, Turkey could continue ranking first.After imports from Syria began surging, Brussels required export licences from Syrian suppliers.In 2002, Syria-based exporters mainly sold yarns to Italy (51%), Belgium (20%) and Portugal (20%) in volume terms. Syria success partly reflects relocation of European production to the cotton-producing country.
It is expected that Syria exports of cotton yarn will further surge uppon implementation of the regional cumulative origin between the Mediteranean countries that have signed partnership agreements with the EU. The Syrian spinning industry is expected to supply Morocco and Tunisia and compete with the Egyptian and Turkish spinning industries beyond 2005.
The Egyptian spinners have lost their rank in bieng the 2nd biggest cotton yarn exporter to the EU which was gained in 2000, but its rank has been surpassed at the end of 2001 by Uzbekistan which continues in increasing its exports after it had continues investment in its spinning industry, to continue processing its cotton fibre crop as it is the 2nd world largest exporter of cotton fibre.
At the end of 2002, Egypt rank in its exports of cotton yarn has deteriorated as Syria, Uzbekistan and Pakistan have increased their exports which accordingly effected Egypt rank to become the 6th largest EU supplier of cotton yarn, although Egypt exports has increased to reach the export levels of year 2000.
Although, the Egyptian spinning industry has the privilage of having the Egyptian cotton fibre available which is considered a vital element to compete beyond the implementation of the ATC agreement in few months but the scarcity of new investments needed is the biggest challenge to reawaken the Egyptian cotton spinning industry exports to the EU, and to be able to compete with other countries in the region.
From the Egytex news archive, first published on 12 February 2004. Figures and names are as reported at the time.
